E-drug: Re: Value Added Tax for Drugs (1)
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VAT was introduced in Tanzania on 1st July '98 at the rate of 20%.
Essential Drugs were given exemption. Unfortunately, the essential
drugs list is not up to date, so many more drugs were not covered. It
seems there was no dialogue between Tanzania Revenue Authority and
Ministry of Health. There were many meetings between the importers
and the govt. before the problem got sorted out.
Anyway, now all drugs and medical items seem to be VAT exempt. As
far as other borderline items go e.g. disinfectants, VAT is payable,
unless of course, the hospital institution is exempt from paying VAT.
Mahmood H.M. Daya, MRPharmS
Pharmacist
Ithna'asheri Charitable Hospital
P.O. Box 7176
Arusha
Tanzania
Tel: 255-57-2320 (AM)/6206, 7692 (PM)
Fax: 255-57-4460
e-mail: dpl@yako.habari.co.tz
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